(Credit: Beacon Power)The global energy storage systems market is estimated to grow at CAGR above 6% over the next several years, reaching $500 billion by 2025, according to a new report from Global Market Insights. Rising concerns over carbon emissions — carbon dioxide levels reached the highest monthly average ever registered in 2018, according to Hawaii’s Mauna Loa Atmospheric Baseline Observatory — are helping drive the adoption of sustainable energy.
Other major factors that will boost the energy storage systems industry include:
—Large-scale deployment of renewable energy systems
The International Renewable Energy Agency (IRENA) reports that increased utilization of renewable energy along with intensified electrification could help meet global climate goals by 2050. Renewable technologies which are immediately deployable and cost-effective storage solutions can enhance grid efficiency and help fulfil climate commitments.
The International Energy Agency (IEA) suggests that renewable generation met 45% of the global energy demand growth in 2018. Energy storage will certainly play a major role in realizing the next phase of energy transition. Along with the surge in wind and solar power generation, storage solutions will significantly help achieve decarbonization across key applications segments, propelling energy storage systems market size.
—Increased adoption of lithium ion batteries for energy storage
On account of tremendous benefits such as high energy density, long service life and low self-discharge rate, lithium-ion batteries are extensively used in several applications including electric vehicles (EVs), hybrid electric vehicles (HEVs), and consumer electronics.
The research from Global Market Insights indicates that key participants operating across the global ESS market include:
